Israel-Iran LIVE: Trump taunts Tehran 'Make Iran Great Again' after huge nuke blitz

Global markets appear to have taken the US strike against nuclear targets in Iran in their stride as investors watch to see how Tehran will respond.

The price of oil initially jumped more than 2% but later fell back, losing about 0.4%. US stock futures edged higher and share benchmarks in Europe and Asia were mixed.

In London, the price of Brent crude oil, the international standard, had fallen 0.4% to $76.74 a barrel. US crude also fell back, giving up 0.3% to $73.59 a barrel.

Analysts said the big unknown is what Iran will do next while the US strike on three Iranian sites raised urgent questions about what remains of Tehran’s nuclear program.

Neil Newman, managing director of Atris Advisory Japan, said: "I believe what we are thinking is or the thinking is that it is going to be a short conflict. The one big hit by the Americans will be effective and then we’ll get back to sort of business as usual, in which case there is no need for an immediate, panicky type of reaction."

Germany’s foreign minister is renewing calls for Iran to agree to direct talks with the United States but says Europe still has a role to play.

Johann Wadephul, his French and British counterparts and the European Union’s foreign policy chief met the Iranian foreign minister in Geneva last Friday.

He said today: “We already made it very clear to the Iranian side that a real precondition for a settlement to the conflict is that Iran be ready to negotiate directly with the US.

“Iran says it only wants to negotiate with Europe, and that is a good sign for us, but we say that isn’t enough – we want to have the United States of America included.”

Peter Caddick-Adams has offered the US and Israel an urgent warning from the history books. Writing for the Express, the military historian considers the need to put boots on the ground in Iran.

Britain’s Foreign Secretary David Lammy has said he is confident the US is not seeking to overthrow Iran’s government despite a social media post from Donald Trump suggesting it might be a good idea.

Mr David Lammy said that "it’s clear from Israel and the United States that they’re not going after the civilian leadership" in Tehran. He said that’s not what’s under consideration at this time.

The UK's top diplomat said he spoke to Iran’s Foreign Minister Abbas Araghchi and US Secretary of State Marco Rubio on Sunday, and the UK is pushing to "get the Iranians back to serious diplomacy".

Mr Lammy told the BBC he has "not seen an assessment yet" of whether the strikes "seriously degraded Iran’s ability to come up with a nuclear program".

He added that ultimately this has to be dealt with by diplomacy.

North Korea has said it "strongly condemns" the US attack on Iranian nuclear facilities, calling it an egregious violation of Iran’s territorial integrity and security interests.

North Korea’s Foreign Ministry said in a statement that the United States and Israel were escalating tensions in the Middle East through the use of military force.

Pyongyang called on the "just-minded international community" to raise a unified voice against their "confrontational behaviour".

Donald Trump has been warned by the Kremlin that he has opened "Pandora's box" after the United States launched a "bunker buster" raid on Iran's nuclear sites. The US President said the attack in the early hours of Sunday had "taken the bomb right out of [Iran's] hands".

Russia's United Nations ambassador, Vassily Nebenzia, delivered a warning at an emergency meeting of the Security Council. He said "the US has opened a Pandora’s box”, adding: "No one knows what new catastrophes and suffering it will bring."

Mr Nebenzia said Russia offered its mediation to the US to find a peaceful and mutually agreeable solution to Iran’s nuclear program, but the United States, especially its leaders, were "clearly not interested in diplomacy".

He said: "Unless we stop the escalation, the Middle East will find itself on the verge of a large scale conflict with unpredictable consequences for the entire international security system, plus the entire world might end up on the verge of a nuclear disaster."

Iran has said a third man accused of being a spy from Israel’s Mossad intelligence service has been hanged since Israel’s war on the Islamic Republic began.

Activists fear more people will be executed in Iran, particularly after its theocracy issued a deadline for Sunday, demanding people turn themselves in over spying.

The judiciary’s Mizan news agency identified the executed man as Mohammad Amin Mahdavi Shayesteh.

Amnesty International previously raised his case, saying he was held in Ghezal Hesar prison in Iran’s Alborz province.

On Sunday, Iran hanged another man, Majid Mossayebi, whose case only became public after his execution.

On June 16, Iran hanged Esmail Fekri.

Israel's military has said one of its drones was downed during an operation this morning in Iran.

It also said 15 fighter jets struck missile launchers and storage sites in western Iran, close to the border with Iraq.

Israeli Prime Minister Benjamin Netanyahu said on Sunday that Israel was "very close" to achieving its goals in removing Iran’s nuclear and missile threats.

Good morning and welcome to our live coverage. We'll be bringing you the latest throughout the day.